A senior official in Brazilian President Luiz Inácio Lula da Silva’s administration said on Tuesday that a potential strategic Bitcoin reserve would be “determinant for our prosperity” and “in the ( country’s ) public interest.”
At a parliamentary service, Pedro Giocondo Guerra, the vice president’s chief of staff, made the remarks while formally representing the federal government.
According to local media outlet Poder360, Guerra said that seriously considering the creation of a royal bitcoin reserve is in the open interest and will be essential to our prosperity. Bitcoin is the online equivalent of the internet’s gold. It is a technologies that makes it possible for us to quickly transfer money across the globe and properly keep the fruits of our labor.
A growing list of nations have included Bitcoin in their democratic strategies, according to the speech, which highlights the nation’s growing interest in the currency.
The comments made by Guerra came shortly after deputy Eros Biondini ( PL-MG) passed legislation calling for the establishment of a” Secondived Bitcoin Reserve” ( RESBit ). The Brazilian Central Bank would be in charge of custody using advanced monitoring systems, blockchain technology, and artificial intelligence ( AI ) to manage transactions, with the government acquiring up to 5 % of Brazil’s international reserves under the proposed legislation.
Brazil’s crypto landscape is currently strong. The country offers a variety of investment vehicles and began approving place cryptocurrency ETFs before any other country in the Americas. These include SOLANA SECTOR, a business attitude monitor, DEFI11 for a container of DeFi cash, HASH11, one of the most traded ETFs in Brazil, and perhaps a Solana place ETF that was approved in August 2024.
The Bitcoin reserve’s many goals are set out in the proposed legislation. These include diversifying the financial assets of the National Treasury, ensuring the security of foreign reserves from money fluctuations and political risks, encouraging adoption of blockchain technology in the public and private sectors, and providing support for Brazil’s contentious CBDC, the DREX.
The bill would require the state to slowly implement the supply while adhering to governmental obligation laws and guaranteeing public account stability if approved. Additionally, the legislation mandates open management by providing Congress with yearly reports.
The bill has still understand the entire legislative process, which calls for the passage of both the Chamber of Deputies and the Senate, and ultimately the veto or approval of the president.
The Bitcoin reserve, in Biondini’s opinion, would put Brazil “at the forefront of the modern economy” and boost the nation’s economic resilience by lowering its risk of currency fluctuations and political risks.
According to Finder’s analysis, about 16 % of the Portuguese population reported using or owning crypto assets in 2022, making Brazil’s higher adoption rate of the technology. It contends that the government’s strategy should reflect this widespread adoption to prevent putting the nation at risk worldwide.
El Salvador, a well-known legal tender, has been acquiring one Bitcoin every day for its federal reserves, allegedly making substantial profits as a result of the stock’s appreciation. Venezuela claims to have some Bitcoins in its global reserves in addition to establishing a regulatory framework for cryptocurrencies. In order to assess how lender institutions could collaborate with crypto exchanges to offer financial services, Colombia conducted a sandbox.
The request comes in response to a March 6 executive order signed by US President Donald Trump that established a reserve for the use of stolen bitcoin in law enforcement operations. and forbids any additional income of the electronic goods.
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